Are Silicon Valley Startups More Likely To Be Acquired?
June 16, 2009 ·Filed Under Technology News
Does where you start your company matter? Statistically, it may. Jim Karsten pulled input from CrunchBase to look at where startups are based and the likelihood of an acquisition. The results show that 41.2% of startups that we track are based in Silicon Valley, but that those startups explanation for 53.3% of the reported acquisitions. A startup based in Silicon Valley has a 6.9% chance of being acquired. New York startups come in second with a 4.9% acquisition rate.
It’s not clear precisely what info was pulled (years, transaction size, etc.), although there are more details here. We’re running our own analysis of the goods by the last few years (back to startups founded in 2004 and later, and to include universal data) and should have a deeper dive available soon. But until thereupon, the info is clear - all else being equal, start your company in Silicon Valley. Although we strongly propose that
More from John Cook, who’s hopelessly in love with Seattle. additionally worth reading is Redfin CEO Glenn Kelman’s rant last year about Silicon Valley working too hard (my response, his last word).
The bottom line is that. whether you have the means, start your company in Silicon Valley. It’s the big leagues. Like I said last year to those crazy Seattleites that keep saying they’re basically a suburb of Silicon Valley: “whether staring at lakes and skiing after work are critical to you, don’t pretend to be surprised when your startup doesn’t cut it.”
Crunch Network: CrunchBoard because it’s duration for you to find a new Job2.0
Comments
Got something to say?